Receivers have been called into troubled property developer Nigel McKenna’s company responsible for paying returns to Westin hotel investors.
The developer lost control of Lighter Quay Hotel Management, formerly Melview Lighter Quay Hotel Management earlier this week.
KordaMentha receiver Michael Stiassny was appointed to the company after creditors voted on Sunday against a repayment proposal Mr McKenna had put forward.
NBR first broke the news Westin investors hadn’t been paid returns by Mr McKenna’s company in May last year, and the problem has escalated since.
Mr Stiassny said the receivership would not affect the running of the hotel, operated by international company Westin which has no involvement in Lighter Quay Hotel Management.
Mr McKenna’s Melview Group built the 172-room, $130 million hotel at Auckland’s Viaduct Harbour. It opened in June 2007.
Receivers took over his $1 billion Kawarau Falls project at Queenstown in May last year.
This article is tagged with the following keywords. Find out more about MyNBR Tags
Most listened to
- Rodney Hide rails against MMP and its cause of this year's election results
- Craigs' Stephen Ridgewell on Xero's new revenue opportunity
- Rugby has enough troubles right now. It doesn’t need another existential crisis, says Eric Young
- Nevil Gibson weighs up what's at stake as the US and Canada faceoff over support for the aviation industry
- NBR Radio: best of the week ended September 22, with Grant Walker